Glossary of conveyancing terms

A series of related transactions which are all dependant upon one another.

The date when the purchaser becomes the legal owner of the property and all transactions relating to the sale / purchase of the property are completed.

A financial statement listing all the financial transactions.

The terms in the contract of sale specifying the terms by which the buyer / seller agree to proceed to completion.

A sum of money paid by the buyer to the seller on exchange of contracts. The standard amount is 10% of the total purchase price but this can be varied by agreement between the parties.

Fees paid to third parties during the course of the transaction, for example search fees and application fees to the Land Registry.

The point at which the transaction becomes legally binding.

A form prepared by the seller indicating which items are included in the sale and which are not.

One of the two tenures recognised by English Law, freehold describes an estate in land with an unlimited duration of occupancy.

Following acceptance of an offer from one buyer the seller then accepts a higher offer from another buyer.

The buyer agrees a price for the property but then makes a lower offer, usually just before exchange of contracts.

Fees paid to the Land Registry, the official organisation responsible for recording information relating to the ownership of land, in order to register a transaction.

The second of the tenures recognised by English Law, leasehold describes an estate in land with a limited duration of occupancy.

A legal document evidencing the mortgage lender as owner of a charge on the property.

An inspection of the property carried out by a Surveyor on behalf of a mortgage lender in order to ascertain whether or not the property will provide sufficient security for the lender.

The amount required to be paid to a mortgage lender to repay the mortgage loan in full.

Enquiries made with third parties relating to matters affecting the property, for example Local Authority, Water and Drainage and Environmental Searches.

Stamp Duty Land Tax is a tax payable to H M Revenue & Customs on certain transactions.

A provisional sale agreement between the buyer and the seller which is not legally binding because contracts have not yet been exchanged.

An inspection of the property which is carried out by a chartered surveyor in order to ascertain whether or not there are any defects in the property of which a buyer should be aware.

The legal document which transfers legal ownership of the property from the seller to the buyer.